Oleksiy Lyubchenko: we have found a resource to increase the VAT revenues over the first two monthsChapter: News

Effect of exposing and eliminating the VAT overuse schemes can already be seen in results of the STS’s activity. This was stated by the Chairman of the State Tax Service of Ukraine Oleksiy Lyubchenko in an interview with “LIGA”.

“Every month, there are 272 thousand VAT payers conducting more than 22 million operations in Ukraine. We updated the risk monitoring system because the algorithm did not partially comply with some Articles of the Tax Code, which allowed us to circumvent it. We have removed this vulnerability. We have currently block 3% of the total number of invoices, namely only those where there are schemes, not real business” – emphasized Oleksiy Lyubchenko.  

He stated that 30 thousand payers were identified as risky in the risk monitoring system registering the tax invoices / adjustment calculations. If the monitoring system for compliance of tax invoices / adjustment calculations with the risk assessment criteria continues to operate normally and does not block honest business, then, in any case, there will be some violations, but they will be minor.

Oleksiy Lyubchenko informed that at present the STS is focused on reducing the backlog of the tax revenue plan. In the first 5 months of 2020, the gap was recorded at 44 billion UAH. This tax amount was planned for the second half of the year.

“We have found a resource to increase the VAT revenues over the first two months and not only this. The backlog in May – June was reduced from 11.1 billion UAH as of May 1 to 1.7 billion UAH as of July 1. The second is the excises. Ukraine, according to the relevant associations, consumes about 36 million dal of alcohol per year. Production – 22, import – 2. That is, 9 – 12 million dal is lost somewhere. These are potential taxes” – emphasized Oleksiy Lyubchenko.